Early Look

Monday, February 10, 2025

U.S. futures are bouncing after declining on Friday to close out the week with losses, largely ignoring tariff headlines as attention turns to more earnings, Fed chairman Powell testimony to the House and Senate this week, and consumer price index (CPI) inflation data midweek. This weekend, U.S. President Donald Trump said he will introduce new 25% tariffs on all steel and aluminum imports into the U.S., on top of existing metals duties, in another major escalation of his trade policy overhaul. Shares of Cleveland Cliffs (CLF), Nucor (NUE), Alcoa (AA) among other US metals names are rising on the headlines. China also imposed retaliatory tariffs on the US, its embassy in Washington said on Sunday — hitting about $14B worth of goods and dashing hopes that a trade war between the world’s two largest economies could be avoided. Markets are taking the headlines in stride, bouncing back after falling Friday on inflation-related fears. Top stories this week include Federal Reserve Chair Jerome Powell’s semi-annual economic testimony to Congress to the US (Tuesday and Wednesday), the consumer price index on Wednesday and Retail sales data Friday. In Asian markets, The Nikkei Index gained 14 points to 38,801, the Shanghai Index rose 18 points to 3,322, and the Hang Seng Index advanced 388 points to 21,521. In Europe, the German DAX is up 52 points to 21,839, while the FTSE 100 is up 50 points to 8,750. Gold prices hit fresh record highs, rising 1.5% to $2,930 an ounce on the tariff headlines while the dollar edges higher.

• The Dow Jones Industrial Average fell -444.23 points, or 0.99%, to 44,303.40.
• The Nasdaq Composite tumbled -268.59 points, or 1.36%, to 19.523.40.
• The Russell 2000 Index declined -27.41 points, or 1.19% to 2,279.71.

• Earnings After the Close: ACLS ALAB AMKR ARI ARWR BRX CINF CMCO CMP COTY CXW FLNC HLIT INSP KRC LSCC MEDP MITK NGL PETS PFLT PNNT RICK RLGT SLQT SPSC SSD UTL VNO VRTX WTS

• Rivian (RIVN) is opening up sales of its delivery vans to fleets of all sizes in the United States, the electric vehicle maker said on Monday, more than a year after ending its exclusive deal with shareholder Amazon (AMZN).
• Sun Country Airlines Holdings Inc (SNCY) announces secondary public offering of 6.3M shares and authorizes $10M share repurchase from underwriters

• ConocoPhillips (COP) downgraded to Outperform from Strong Buy at Raymond James
• Spirit AeroSystems (SPR) said Q4 2024 net revenues $1,662B, down from $1.81B in Q4 2023 but above the $1.53B estimate; said recognized net forward loss charges of $401M in Q4 2024.
• Shares of Cleveland Cliffs (CLF), Nucor (NUE), Alcoa (AA) among other US metals names are rising following Trump announcement on tariffs; Trump to announce 25% steel and aluminum tariffs in latest trade escalation.

• FactSet (FDS) said it has acquired trade management platform LiquidityBook in an all-cash deal valued at $246.5M.

• Merck (MRK) downgraded to Hold from Buy at TD Cowen and cut tgt to $100 from $121.
• Pliant Therapeutics (PLRX) shares tumble as voluntarily paused enrollment and dosing of its ongoing Beacon-IPF Phase 2b trial of bexotegrast in patients with idiopathic pulmonary fibrosis.

• ChipMOS Technologies (IMOS) said they expect 6.3% full year 2024 revenue growth, with a 5.4% yoy December 2024 revenue decline and a 5.7% yoy 4q24 revenue decline; says co plans to buy back shares for up to t$17.39B.
• Mobileye (MBLY) upgraded to Neutral at Bank America on limited downside risk, bottoming sentiment.
• Taiwan Semi (TSM) said Q1 revenue would be closer to the lower end of its guidance, as it expects a $161 million impact from an earthquake that rocked the island in January; said estimated losses from the earthquake that hit southern Taiwan in late January to be about NT$5.3B ($161M), net of insurance claims.